TODAY ON AGDAY
DEC. 1, 2015
OPENING HEADLINES:
HE EPA ROLLS OUT ITS FINAL R-F-S NUMBERS. WORLD LEADERS GATHER TO TALK CLIMATE IN PARIS.
PLUS, OVERSIGHT CHANGES FOR CATFISH FARMERS.. IN AGRIBUSINESS...RISK ISN’T JUST FOR GRAIN MARKETS...
WHAT HAPPENS IF THE GUY YOU’VE KNOWN FOR 20 YEARS IN AG COMMUNITY ALWAYS KNEW HE WAS GOOD FOR IT, WHAT IF ONE DAY HE’S NOT GOOD FOR IT?
AND THIS THEME PARK IS POWERED BY GREEN ENERGY...INTERESTING CHALLENGE OR A MODEL FOR THE FUTURE?
ATTACK ON CLIMATE CHANGE FOR 2016:
GOOD MORNING I’M CLINTON GRIFFITHS.
AS WORLD LEADERS GATHER IN FRANCE TO SET THE FRAMEWORK OF A PLAN TO ATTACK CLIMATE CHANGE, BACK HERE AT HOME THE ENVIRONMENTAL PROTECTION AGENCY RELEASES THE VOLUME REQUIREMENTS FOR THE RENEWABLE FUELS STANDARD.
THE E-P-A INCREASED THE ETHANOL VOLUME TARGETS FOR 2014, 2015 AND 2016 FROM THEIR PROPOSED LEVELS RELEASED LAST MAY.
RENEWABLE FUEL USE FOR 2016 WAS BOOSTED TO OVER 18 BILLION GALLONS. THAT COMPARES TO 17-POINT-FOUR MILLION IN THE SPRING-TIME. THOUGH HIGHER, IT’S STILL WELL BELOW THE 22 BILLION GALLON MARK SET BY CONGRESS EIGHT YEARS AGO.
MEANWHILE WORLD LEADERS ARE GATHERING THIS WEEK IN PARIS FOR THE U-N SUMMIT ON CLIMATE CHANGE.
BILL GATES INVESTS IN CLEANER ENERGY RESEARCH:
MICROSOFT CO-FOUNDER BILL GATES ANNOUNCED A PLAN FOR GOVERNMENTS AND BUSINESS LEADERS TO INVEST BILLIONS OF DOLLARS TO RESEARCH AND DEVELOP CLEAN ENERGY TECHNOLOGY.
A KEY GOAL OF THE INITIATIVE IS TO BRING DOWN THE COST OF CLEANER ENERGY. AT LEAST 19 GOVERNMENTS AND 28 LEADING WORLD INVESTORS HAVE SIGNED UP SO FAR.
THE EFFORT IS TWOFOLD: A PUBLIC-PRIVATE PROJECT CALLED MISSION INNOVATION LED BY GOVERNMENTS. THE OTHER HALF IS AN INVESTOR GROUP LEAD BY GATES -CALLED THE BREAKTHROUGH ENERGY INITIATIVE.
IT’S A GLOBAL PRIVATE INVESTMENT GROUP THAT WILL TAKE RISKS THAT WILL ALLOW COMPANIES TO GET INNOVATION OUT OF THE LAB AND INTO THE MARKETPLACE, AND WILL FOCUS ON EARLY-STAGE COMPANIES THAT COULD SCALE UP TO MAJOR CARBON SOLUTIONS.
AS PART OF THE PLAN, THE GOVERNMENTS OF THOSE ECONOMIC POWERS PLEDGE TO DOUBLE THEIR SPENDING ON LOW OR NO-CARBON ENERGY OVER THE NEXT FIVE YEARS.
USDA TO REGULATE INSPECTIONS ON CATFISH PRODUCTION—A LOOK AT HOW THIS WILL IMPACT CATFISH FARMERS:
THERE’S BEEN A SIGNIFICANT CHANGE AS TO WHICH GOVERNMENT AGENCY WILL OVERSEE CATFISH INSPECTIONS IN THIS COUNTRY.
THE FDA WILL NO LONGER REGULATE CATFISH AND CATFISH-LIKE SPECIES.
INSTEAD, USDA WILL HAVE THE JOB.
THAT NEWS MAKING HEADLINES IN AN INDUSTRY STRUGGLING UNDER THE WEIGHT OF INTERNATIONAL COMPETITION.
NATIONAL REPORTER--BETSY JIBBEN--HAS DETAILS, BETSY.
CATFISH FARMERS HAVE FACED MULTIPLE CHALLENGES OVER THE LAST FEW YEARS: FROM FIGHTS IN THE FARM BILL, INCREASING COMPETITION FROM ASIA AND NOW A DEBATE OVER WHICH GOVERNMENTAL AGENCY REGULATES THEIR BUSINESS. SOME PRODUCERS SAY THE CHANGE IS A BIG FIRST STEP, WHILE OTHERS SAY IT’S A STEP IN THE WRONG DIRECTION.
THE CATFISH INDUSTRY HAS BEEN A PART OF TOWNSEND KYSER’S DAY AS LONG AS HE CAN REMEMBER.
GROWING UP IN A CATFISH RAISING FAMILY, HE’S SEEN THE UPS AND DOWNS.
“RIGHT NOW, TIMES ARE GOOD FOR PEOPLE WHO HAVE WEATHERED THE STORM,”
FOR KYSER, THAT STORM FIRST HIT ABOUT A DECADE AGO, WHEN THE PRICE OF BOTH GRAIN AND OIL INCREASED. THAT’S WHEN IMPORTED CATFISH-LIKE SPECIES CALLED PANGASIUS-BEGAN POURING INTO THE U.S. FROM ASIAN COUNTRIES.
“OUR INPUTS WENT UP AND OTHER PRODUCTS WERE COMING IN AT A CHEAPER RATE. THOSE TWO THINGS CUT OUR INDUSTRY IN HALF,”
HERE’S A LOOK FROM THE NATIONAL FISHERIES INSTITUTE ON HOW CONSUMPTION HAS CHANGED. IN THE LAST DECADE, PANGASIUS NUMBERS HAVE
RISEN SHARPLY. KYSER SAYS IMPORTS ARE A REAL ISSUE.
WE ARE STILL BATTLING IT OUT. I’M STILL VERY MUCH IN FAVOR OF GOOD, FAIR, COMPETITION ON AN EVEN PLAYING FIELD BUT WHEN OTHER COUNTRIES COME IN AND UNDERCUT OUR PRICES AND STEAL THE MARKETS THAT WE SPENT A LIFETIME BUILDING, IT HURTS OUR COMMUNITIES,">
BACK IN 2008. SOME CATFISH PRODUCERS ASKED FOR MORE REGULATIONS WITHIN THE INDUSTRY. CONGRESS AGREED TO MOVE INSPECTION OF FOREIGN AND DOMESTIC PRODUCED CATFISH FROM THE FOOD AND DRUG ADMINISTRATION TO THE USDA.
NOW STARTING IN MARCH, THE USDA WILL REGULATE CATFISH INSTEAD OF THE FDA.
WHEN THE GOVERNMENTAL ACCOUNTABILITY OFFICE LOOKED AT THE TWO COMPETITING PROGRAMS, USDA AND FDA PROGRAM, THEY FOUND THE USDA PROGRAM WAS EXCEEDINGLY EXPENSIVE. THEY ESTIMATE 170 MILLION DOLLARS OVER 10 YEARS. CURRENTLY IT ONLY TAKES 700 THOUSAND DOLLARS A YEAR FOR FDA TO REGULATE CATFISH. IT’S AN ENORMOUS HIT FOR TAXPAYERS THAT IS A WONDERFUL BRAND. EVERYONE RECOGNIZES IT AND WE KNOW THAT IT’S SAFE AND GOOD. OUR PRODUCT WILL SHINE WITH THAT.
USDA SPECIALIZES IN MEATS AND EGGS BTHE FDA HAS REGULATORY OVERSIGHT OVER ALL OTHER FISH AND FISHERY PRODUCTS. SOME FEEL THE INSPECTION PROCESS CHANGES BY ORGANIZATION.. AND NEW INSPECTION SYSTEM MAY BE COSTLY...
BESIDES NEW COSTS, GIBBONS ARGUES THE CHANGE ONLY PROTECTS DOMESTIC PRODUCERS AND VIOLATES WORLD TRADE ORGANIZATION RULES.
HE WORRIES THE SITUATION COULD BRING RETALIATION AND END UP IN COURT.
AND OTHER COMMODITIES COULD BE IMPACTED.
WE DON’T EXPORT ANY DOMESTIC CATFISH. THAT WTO LOSS COULD IMPACT SOYBEANS, OR BEEF
FOR INSTANCE. IN THE END, TRADE RETALIATION IS VISITED UPON WITH U.S. AG EXPORTS. SO THIS IS A LOSE,
LOSE, LOSE,” WHEN IT COMES TO HIS OWN INDUSTRY, KYSER ISN’T WORRIED ABOUT NEW
RESTRICTIONS TO DOMESTIC CATFISH PRODUCERS.
“FEDERAL REGULATION IS NOT A PROBLEM FOR US IN THE CATFISH INDUSTRY AS LONG AS ITS EQUAL TO EVERYBODY IN THE GAME. WE GROW A SAFE AND HEALTHY PRODUCT. ALL WE ARE ASKING FOR IS EQUAL PLAYING FIELD WITH COMPETITORS,” IN AN INDUSTRY THTA’S SEEN TOUGH TIMES, THEY HOPE THEIR INDUSTRY CAN REBUILD AND CONTINUE IN KYSER’S CASE, A LIFELONG LEGACY.
“IT’S A LOT TO OUR COMMUNITY AND IT’S A LOT TO OUR FAMILY. WE’VE BEEN DOING IT FOR 50 YEARS AND I HOPE WE CAN CONTINUE TO DO IT,”
KYSER SAYS SOME CATFISH PRODUCERS ORIGINALLY ASKED FOR MORE REGULATIONS--CALLING IT A FOOD SAFETY ISSUE.
HE SAYS THE CATFISH-LIKE SPECIES RAISED OVERSEAS, ARE GROWN IN UNSAFE OR POLLUTED ENVIRONMENTS-MAKING THE PRODUCT UNSAFE FOR CONSUMERS. GIBBONS DISAGREES SAYING IT’S A LOW-RISK FOOD. THANKS BETSY THE USDA HAS SET AN 18 MONTH TRANSITIONAL PERIOD FOR DOMESTIC AND INTERNATIONAL PRODUCERS TO ADJUST TO ANY NEW RULES.
CROP WATCH:
OBVIOUSLY NOT MUCH FIELD ACTIVITY IN MOST OF THE COUNTRY RIGHT NOW.
LET’S CHECK IN WITH MIKE HOFFMAN.
GOOD MORNING CLINTON.
TODAY’S CROPWATCH TAKES US TO TULIA, TEXAS. AN ICE STORM HIT THE AREA OVER THANKSGIVING WEEKEND. THE THICK LAYER OF ICE DAMAGED MOSTLY TREES. THE FORECAST CALLS FOR SUN THE REST OF THIS WEEK. AND TAKING A LOOK AT THE WEATHER MAP YOU CAN SEE THAT STORM SYSTEM MOVING INOT THE UPPER MIDWEST WITH SNOW AND THERE’S RAIN IN THE EASTERN THIRD OF THE COUNTRY WE’LL SHOW YOU WHERE THAT STORM IS TRACKING NEXT COMING UP WITH MY FORECAST.
TEASE:
UP NEXT AT THE AGRIBUSINESS DESK, WE’RE TALKING RISK.
AND AS TOMMY GRISAFI EXPLAINS IT--THERE’S RISK OUT THERE BEYOND AN UP OR DOWN MARKET. AND LATER, AS WORLD LEADERS DISCUSS GLOBAL WARMING, AN AMUSEMENT PARK SHOWS HOW YOU CAN STILL “GO GREEN” AND HAVE FUN. AGDAY -BROUGHT TO YOU BY BASF. GROW SMART WITH BASF AND GET THE MOST, ACRE AFTER ACRE, SEASON AFTER SEASON.
CME:
IN AGRIBUSINESS -IT WAS A MIXED DAY MONDAY IN THE GRAIN MARKETS. LET’S HEAD TO THE CME FLOOR FOR AN UPDATE.
HI. A HIGHER MARKET IN ALL THE GRAIN MARKETS. THAT’S WITH SOYBEANS TO THE UPSIDE. A FEW THINGS GOING ON. FIRST FOR BOTH CORN AND SOYBEANS.
THE U.S. PRODUCERS ARE REALLY NOT SELLING ANYTHING AND NEITHER IS THE PRODUCER DOWN IN SOUTH AMERICA. PRODUCERS THROUGHOUT THE WORLD ARE REALLY WAITING FOR SOME HIGHER PRICES BEFORE THEY’RE TAKING ON MOST OF WHAT THEY’RE TAKING ON NEW SALES IN THE U.S. THE GRAIN IS PRETTY MUCH IN THE BIN. IT TAKES MORE PRICE FOR THE PRODUCER TO UNLOCK BIN DOORS AND UNLOADING UP SEMIS. DOWN IN SOUTH AMERICA, THE CROPS ARE JUST GETTING PLANTED. THE PRICES AREN’T WHERE WE WANT TO BE SELLING HIS CROPS SO THE PRODUCER DOWN THERE WOULD LIKE TO BE SELLING HIS CROPS SO HE’S HOLDING OFF FOR THE MINUTE. THE LIVESTOCK MARKET TRADING LOWER HERE TODAY WITH MOST OF THE WEAKNESS BEING IN THE FEEDER CATTLE ESPECIALLY, SHOWING THE BIGGEST LOSSES IN THE DAY. ALSO, HOGS ARE HOLDING IN RELATIVELY WELL. SEEING SOME MIXED RUNS IN THE CASH MARKET. THE CUT-OUT SHOWING DIFFERENT TRENDS TODAY. THAT’S IMPACTED HOGS. HOGS SHOWING BIG SUPPLIES AS THE HOGS ARE STILL COMING OFF HEAVY. OVERALL, IT’S A DISAPPOINTING START TO THE WEEK, BUT THINGS COULD IMPROVE LATER ON. WE’VE SEEN A LOT OF IDEAS. WE’VE SEEN SOME SEASONAL LOWS HERE OVER THE LAST COUPLE OF WEEKS IN THE CATTLE. IT LOOKS LIKE THE HOGS OVERALL ARE TRADING AT A RELATIVELY FIRM NOTE AS WELL. THIS IS JACK SCOVILLE, I’M VICE PRESIDENT OF PRICE FUTURES GROUP, HERE ON THE CME GROUP FLOOR WITH SOME COMMENTS FROM THE MARKETS.
AGRIBUSINESS:
TOMMY G OUR GUEST HERE AT THE AGRI BUSINESS DESK TODAY. HE’S WITH ADVANCE TRADING. TOMMY LET’S TALK ABOUT SOME OF THE OTHER RISKS THAT SOME OF THE PEOPLE IN THE AG COMMUNITY ARE FACING RIGHT NOW, BEYOND LOW PRICES. ABSOLUTELY, GUYS LIKE ME COME ON THE SHOW AND WE WANT TO TALK ABOUT FUTURES AND OPTIONS, THAT’S WHAT WE DO. BUT THERE ARE OTHER RISKS A GUY LIKE ME CAN’T HEDGE AND THAT’S COUNTER PARTY RISK. EXPLAIN THAT REAL QUICK. LET’S USE THE EXAMPLE SOMETHING FRESH IN OUR MIND WHICH IS THE HOUSING DEBACLE IN 08, 09. THERE WERE GUYS WHO CURRENTLY IN THE SPRING WENT TO A LUMBERYARD AND BOUGHT LUMBER AND SAID HEY I’LL PAY YOU THE REST WHEN I SELL THE HOUSE. BUT THEY DIDN’T END UP SELLING THE HOUSES. THE HOUSES WERE FORECLOSED ON BEFORE THEY EVER CLOSED BECAUSE THE HOUSE YOU WERE BUILDING FOR 400 K WHEN YOU GO TO CLOSE, IT WASN’T EVEN WORTH 300K. SO THOSE LUMBER YARDS DIDN’T GET PAID. WE’RE SEEING SOME OF THAT SAME RISK HIT THE AG COMMUNITY WHERE SOMEONE SAYS YEA, I’LL BUY SEED, I’LL BUY THIS, I’LL BUY FERTILIZER, EVERYTHING YOU NEED TO GROW A CROP. THEN ALL OF A SUDDEN IF THE NUMBERS DON’T WORK RIGHT, SOMEONE SAYS YEA I HAVE THE GRAIN IN THE BIN. WHEN I SELL OFF THE GRAIN, I’LL PAY OFF THE BILL. BUT THEN YOU SEE THE UNDERLYING ASSET OF THAT GRAIN DETERIORATING. SO YOU WONDER IF YOU GET PAST 60-90 DAYS, ARE YOU GOING TO GET YOUR MONEY. I REALLY THINK THERE’S A LOT OF COUNTER PARTY RISK IN AG. YES, YOU CAN BORROW MONEY AT A VERY LOW RATE BUT IF YOU’RE NOT REPAID ON THAT MONEY, THE RATES ARE GOING TO LOOK INSIGNIFICANT. ARE WE SEEING ANY OF THIS ON THE BANKING SIDE? OR EVEN BANKS WORRIED ABOUT THIS KIND OF THING? I THINK IT’S MORE OF YOUR INPUTS PROVIDER.OF COURSE BANKS ARE WORRIED ABOUT IT. IT’S THEIR JOB. IT’S WHAT THEY DO. IF NOT, THEY SHOULD BE. BUT I THINK IT’S MORE YOUR SEED GUY YOU HAVE A RELATIONSHIP, YOUR LOCAL CO-OP WHERE YOU BUY FERTILIZER, THE GUY WHO COMES BY AND CUSTOM SPRAYS. I THINK IT’S YOUR FRIENDS AND FAMILY NETWORK. YOU KNOW HE’S GOOD FOR IT. WHAT HAPPENS IF THE GUY YOU’VE KNOWN FOR 20 YEARS IN AG COMMUNITY ALWAYS KNEW HE WAS GOOD FOR IT, WHAT IF ONE DAY HE’S NOT GOOD FOR IT? HOW WILL THAT AFFECT YOUR BUSINESS. WHO ARE YOU GOING TO TELL, YOU KNOW SO-AND-SO DOWN THE STREET DOESN’T HAVE THE MONEY. WHAT DO I DO. DON’T LET SOMEONE ELSE’S FINANCIAL PROBLEMS BECOME YOUR FINANCIAL PROBLEMS. SO IT’S A GOOD TIME FOR SMART BUSINESS DECISIONS, TO REALLY BUTTON DOWN THE BOOKS, ON YOUR OWN SIDE. YESSIR. THANKS TOMMY WE APPRECIATE YOUR PERSPECTIVE. WE’LL BE BACK WITH MORE AGDAY IN JUST A MINUTE.
INTERESTED IN SPENDING A DAY WITH A TRADER? CALL TOMMY GRISAFI AT 800-664-4383.
NATIONAL WEATHER:
WELCOME BACK TO AGDAY WITH METEOROLOGIST MIKE HOFFMAN. MIKE, WE’VE KIND OF BEEN WATCHING THIS STORM SYSTEM WORK ITS WAY EAST. IT PUT DOWN A LOT OF ICE EARLY. WHAT NOW? LOOKS LIKE MORE RAIN? RAIN TO THE EAST, NO QUESTION ABOUT IT FROM THE WESTERN LAKES WESTWARD, IT’S MAINLY SNOW AT THIS POINT. SO LET’S PUT THE MAPS INTO MOTION, YOU’LL SEE HOW THIS STORM SYSTEM WILL CONTINUE TO MOVE NORTHEASTWARD THROUGH THE UPPER MIDWEST. LOTS OF SNOW IN EASTERN DAKOTAS, MINNESOTA, PARTS OF IOWA, WISCONSIN. OFF TO THE EAST, IT’S MAINLY RAIN.
OBVIOUSLY ALL RAIN SOUTH OF THAT WARM FRONT WITH A FEW THUNDERSTORMS MIXED IN THE SOUTHEAST. DECENT RAINFALL IN SOME OF THIS AREA. ALTHOUGH THE FRONT IS GETTING AWAY FROM LOW PRESSURE. AND SO THAT TYPICALLY KIND OF KEEPS THINGS TO A MINIMUM IN THAT RESPECT. YOU’LL NOTICE THE NEXT SYSTEM COMING INTO THE PACIFIC NORTHWEST, ALREADY SOME RAIN AND MOUNTAIN SNOW MOVING IN. THAT WILL COME IN AS WE HEAD THROUGH TONIGHT AND TOMORROW MORNING. YOU CAN SEE BY TOMORROW MORNING WHEN THIS FRONT ALL KIND OF BECOMES ONE WHERE THE MOISTURE IS BEHIND THE FRONT. THAT’S AN OVERRUNNING SITUATION. YOU END UP A COLD RAIN OR A CHILLY RAIN BEHIND THIS COLD FRONT AS IT CONTINUES TO MOVE SOUTHEAST. THE SNOWS STARTING TO TAPPER OFF WESTERN LAKES. WE’LL GET SOME SCATTERED SNOW SHOWERS AND THEN THE STORM MOVES INTO THE SOUTHEASTERN PORTIONS OF CANADA. THAT’S A FEW LINGERING FLURRIES ON THE WEST SIDE OF THAT. THE NEXT COLD FRONT DIPS INTO MONTANA BUT SLOW PROCESS MOVING THROUGH OREGON. MOST OF CALIFORNIA CONTINUES TO BE DRY. THERE’S THE PRECEIPATION ESTIMATE OVER THE PAST 24 HOURS. THAT’S DECENT AMOUNTS IN PARTS OF THE TENNESSEE VALLEY. WE’LL ADD ON THE NEXT 36 AND YOU CAN SEE THAT WILL MOVE THROUGH MANY OTHER PARTS OF THE SOUTHEAST. OUR COMPUTER MODELS ARE SHOWING TWO OR THREE INCHES OF MANY PARTS OF NORTH CAROLINA INTO PARTS OF VIRGINIA AS WELL. AND SOME PRETTY HEAVY AMOUNTS OF HERE. WESTERN WASHINGTON, NORTHWESTERN PORTIONS OF OREGON. MOST OF THAT MOISTURE IN THE UPPER MIDWEST ISN’T A FORM OF SNOW. YOU CAN SEE SEVERAL INCHES IN MANY PARTS OF THE DAKOTAS AND MINNESOTA AND NORTHWESTERN IOWA AND ADD ON THE NEXT 36 HOURS. YOU CAN SEE HOW IT’S TAPPERING OFF. WE’LL ADD A LITTLE BIT TO THESE AREAS. BUT NOT A LOT ONCE WE GET INTO THE DAY TOMORROW. THERE’S THE HIGH TEMPERATURES THIS AFTERNOON LOTS OF 30S SHOWING UP IN NORTHERN AND CENTRAL ROCKIES AND NORTHERN HALF OF THE PLAINS STATES. STILL 70S IN THE FAR SOUTHEAST. LOW TEMPERATURES TONIGHT GOING TO BE IN THE 20S AND 30S IN MOST AREAS OF THE CORN BELT.
YOU CAN SEE A FEW TEENS IN PARTS OF THE NORTHERN PLAINS AND NORTHERN PORTIONS OF THE ROCKIES. AND THE ONLY REAL MILD AREA TOMORROW IS FLORIDA. CAUSE YOU CAN SEE THE REST OF THE COUNTRY ON THE CHILLY SIDE, ALTHOUGH 30S FOR THIS TIME OF YEAR ISN’T TOO COLD FOR THE UPPER MIDWEST. THAT’S ALL BECAUSE OF THAT CUT-OFF LOW. THAT’S FINALLY GOING TO GET PULLED IN BY THE JET STREAM. YOU CAN SEE ANOTHER TROUGH BEHIND IT AS WE HEAD THROUGH FRIDAY AND SATURDAY. AND YET ANOTHER TROUGH MOVING THROUGH WEST AND EAST AS WE HEAD THROUGH THE EARLY PART OF NEXT WEEK. SO THINGS KEEP MOVING ANYWAY ACROSS THE LOWER 48. THAT’S A LOOK ACROSS THE COUNTRY.
REGIONAL WEATHER:
NOW LET’S TAKE A LOOK AT SOME LOCAL FORECASTS. FIRST OF ALL, FOR ARTEAGANEW MEXICO, IT’S PARTLY SUNNY AND RATHER COOL TODAY. THE HIGH OF 58. DULUTH, MINNESOTA IS CLOUDY WITH LIGHT SNOW AT TIMES. THE HIGH OF 36. AND FINALLY OCALA, FLORIDA MAY BE SOME MORNING FOG THEN PARTLY SUNNY WITH SPOTTY SHOWERS. THE HIGH IS 84.
TEASE:
WE’VE GOT OUR DAIRY TODAY REPORT NEXT INCLUDING THE GROWING IMPORTANCE OF EXPORTS FOR PRICES HERE AT HOME.
AND LATER, IN HONOR OF CLIMATE TALKS IN PARIS, A LOOK AT A THEME PARK THAT’S CREATING THE POWER FOR ITS RIDES WITHOUT THE USE OF TRADITIONAL FUELS.
ENTER TO WIN THIS YAMAHA KODIAK 700 EPS -A GREAT TOOL TO HAVE ON THE FARM. JUST GO TO AGDAY.COM AND CLICK ON THE LINK TO GET DETAILS.
DEADLINE IS DEC. 16 SO DON’T DELAY.
DAIRY TODAY REPORT:
IN OUR DAIRY TODAY REPORT, THE E-U IS PREPARING AN AID PACKAGE FOR DAIRY FARMERS. THE MONEY IS DUE FOR DELIVERY BEFORE THE END OF THE YEAR. EARLIER THIS YEAR, THE E-U ENDED IT’S PRODUCTION QUOTA SYSTEM AND SINCE THEN HAS SEEN PRICES FALL.
INCREASING PRODUCTION AND LOWER PRICES IN THE E-U ALSO PART OF THE EQUATION BEHIND FALLING U.S. EXPORTS.
EXPORT SALES HIT A RECORD IN 2014--NEARLY 7 AND HALF BILLION DOLLARS. 2015 IS EXPECTED TO BE NEARLY 2 BILLION DOLLAR LESS.
ON TOP OF CHANGES IN THE E-U, CHINA HAS REDUCED IMPORTS AND THE U.S. DOLLAR REMAINS STRONG.
INDUSTRY LEADERS SAY IN TODAY’S GLOBAL ECONOMY EXPORTS HAVE TO BE A PRIORITY.
THE KEY THAT I THINK NOT EVERYBODY IN THE DAIRY INDUSTRY HAS REALIZED IS HOW IMPORTANT THE EXPORTS MARKET HAS BECOME TO OUR MARKET. WE NOW SEND ABOUT 15 PERCENT OF OUR PRODUCTION...THAT’S ONE DAY A WEEK OF MILK PRODUCED IN THE U.S. THAT GOES OVERSEAS. WHEN THAT BACKS UP IT’S EXCESS PRODUCT IN OUR MARKET THAT INCREASES SUPPLY AND IF DEMAND DOESN’T COMPENSATE FOR IT AND DEMAND IS NOT GROWING AS FAST AS SUPPLY IS IT’S A RECIPE FOR LOWER PRICES.
COCA-COLA TO RELEASE NEW MILK BASED DRINK IN INDIA:
SODA GIANT COCA COLA IS SAID TO BE PREPPING A NEW DAIRY PRODUCT IN INDIA. THE MILK BASED --NON CARBONATED BEVERAGE IS EXPECTED TO HELP THE COMPANY AS SODA CONSUMPTION CONTINUES TO FALL.
THE PRODUCT COULD HIT SHELVES AS EARLY AS JANUARY.COCA COLA MADE A SIMILAR MOVE IN THE U.S. LAST YEAR. IT LAUNCHED FAIRLIFE BRAND MILK--A PREMIUM DRINK WITH HIGHER PROTEIN, LACTOSE FREE AND SHELF STABLE.
MARKET WATCHERS SAY SO FAR IT’S MAKING ITS WAY INTO STORES AND SALES ARE STRONG.
REPEAT CUSTOMERS IS AT 40% WHICH IS UNHEARD ON A NEW PRODUCT, SO THEY’RE DONIG REALLY WELL THERE. THEY FOUND OUT THAT OVER 50% OF SALES ARE COMING FROM NON DAIRY DRINKS, SUCH AS SOY AND ALMOND AND THAT SORT OF STUFF. WHICH WAS THEIR TARGET AUDIENCE GOING IN. AND OVER HALF THEIR SALES HAVE COME FROM THAT SEGMENT.
UGANDAN SCIENTIST MAKE PROGRESS ON DISEASE AND DROUGHT RESISTANT BANANA:
SCIENTISTS IN UGANDA SAY THEY ARE MAKING PROGRESS IN GENETICALLY MODIFIED BANANAS, ALLOWING THEM TO BE MORE DISEASE AND DROUGHT RESISTANT.
BANANAS ARE A STAPLE FOOD OF THIS AFRICAN COUNTRY. THE RISK OF A BACTERIA DESTROYING THE CROP IS A REAL THREAT THAT SCIENTISTS ARE HOPING TO COMBAT.
THE BACTERIA CAUSES THE BANANA PLANT TO WITHER AND AFFECTS THE QUALITY OF THE FRUIT. BANANA CROPS ARE ALSO SPOILED BY DROUGHT.
“THE GENESIS OF BANANA GENETIC ENGINEERING WORK HAS COME FROM MANY YEARS OF ATTEMPTING TO BREED BANANAS MAINLY TO SOLVE CRITICAL PROBLEMS OF PRODUCTIVITY THAT WERE EXPERIENCED BY FARMERS.”
THE RESEARCHERS HAVE ALSO BEEN USING G-M-O TECHNOLOGY TO DEVELOP NEW VARIETY OF BANANAS THAT HAVE MORE VITAMIN A.
TEASE:
UP NEXT, GO GREEN ABOARD A SOLAR POWERED ROLLER COASTER.
WE’LL BE RIGHT BACK.
IN THE COUNTRY:
IN THE COUNTRY BROUGHT TO YOU BY THE ALL NEW KUBOTA SSV SERIES SKID STEERS. YOU ASKED FOR A QUALITY SKID STEER AND WE DELIVERED. VISIT YOUR LOCAL KUBOTA DEALER TO TEST DRIVE ONE TODAY.
IF YOU’VE EVER BEEN TO A BIG AMUSEMENT PARK, THEN YOU PROBABLY GET AN IDEA IT TAKES A LOT OF ENERGY TO PUSH THOSE THRILL RIDES AROUND THEIR TRACKS.
AN ECO-FRIENDLY ADVENTURE PARK IN WALES CLAIMS TO BE THE FIRST OF ITS KIND IN THE UNITED KINGDOM -TO BE POWERED BY SOLAR ENERGY.
GREENWOOD FOREST PARK GENERATES ALL ITS OWN ENERGY NEEDS ON MOST DAYS -INCLUDING POWERING ITS MAIN ATTRACTION ROLLER COASTER.
THE PARK USES SOLAR PANELS TO HELP GENERATE POWER FOR EVERYTHING IN THE PARK – FROM RIDES TO FRIDGES.
IT LIKES DIRECT SUNLIGHT -THAT’S THE BEST OPTION -BUT WE DON’T ALWAYS GET THAT IN WALES. BUT IT WILL STILL GO ON GENERATING EVEN IN FAIRLY LOW LIGHT LEVELS AND IT PUTS POWER INTO OUR SYSTEMS AND IF WE GENERATE A SURPLUS WE SELL THAT TO THE GRID.
THE AMUSEMENT PARK SELLS FOOD AND DRINKS IN BIO-DEGRADABLE CONTAINERS. IT TURNS USED-COOKING OIL INTO BIO DIESEL. THE MAIN BUILDING HAS A RAINWATER COLLECTION SYSTEM WHICH GATHERS 130-THOUSAND LITRES OF WATER A YEAR TO BE USED IN TOILETS.
CLOSING:
THAT’S ALL THE TIME WE HAVE THIS MORNING. WE’RE GLAD YOU TUNED IN. FOR BETSY JIBBEN, MIKE HOFFMAN, AND ALL OF US AT AGDAY. I’M CLINTON GRIFFITHS. HAVE A GREAT DAY.
HIGH STRENGTH STEEL FOR HIGH STRENGTH DEPENDABILITY, THE CHEVY SILVERADO IS THE OFFICIAL NEWS GATHERING VEHICLE OF AGDAY TELEVISION.
PROMO:
I’M CLINTON GRIFFITHS. WEDNESDAY ON AGDAY WHERE IS FUND MONEY MOVING THESE DAYS? WE’LL HAVE EXPERT ANALYSIS. PLUS FALL OUT FROM NEW ETHANOL MANDATES. WATCH US WEEKDAYS HERE ON AGDAY.
